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Functional Area of Business

Functional Area of Business bNo5l

One of the reasons for separating business operations into functional areas is to allow each to operate within its area of expertise, thus building efficiency and effectiveness across the business as a whole. Functional areas in a business vary according to the nature of the market and the size of the business. For example, manufacturing companies like Nike and Apple have significant Research and Development (R&D) departments in order to stay in the lead in their respective business segments. On the other hand, retail companies may have no R&D functional area per se, but will be heavily invested in Operations areas surrounding Supply Chain Management.

One of the reasons for separating business
 operations into functional areas
 is to allow
 each to operate within its area
 of expertise, thus
 building efficiency and effectiveness across the business
 as a whole. Functional areas
 in a business
 vary according to the nature of the market and the size of the business
. For example
, manufacturing companies
 like Nike and Apple have significant Research and Development (R&D) departments in order to stay in the lead in their respective business
 segments. On the other hand
, retail companies
 may have no R&D functional area
 per se, but
 will be heavily
 invested in Operations areas
 surrounding Supply Chain Management. 

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IELTS essay Functional Area of Business

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